Vat Added
Calculator
Results
- Tax amount
- 20
- Gross price (tax included)
- 120
Tax and payroll results
| Tax amount | 20 |
| Gross price (tax included) | 120 |
formula-map diagram
- Tax amount
- 20
- Gross price (tax included)
- 120
Pay and tax relationship
Formula
gross = net × (1 + VAT rate ÷ 100)= 20
Note
This is generic arithmetic using the rates you entered, not tax advice. No statutory rate, bracket, threshold or exemption is built in. Your real liability depends on your jurisdiction, tax year and personal circumstances; confirm with an official source or a qualified professional.
More in Tax and payroll
See all →Frequently asked questions
How does this calculator add VAT to a price?+
It takes a price excluding tax (the net or pre-tax price) and multiplies it by the VAT rate to find the tax amount, then adds that to the original price to give the final price including VAT (the gross price).
What's the difference between the net price and the gross price?+
The net price is the amount before VAT is applied, often what a business quotes for accounting or business-to-business purposes, while the gross price includes VAT and is what a consumer actually pays at checkout.
Does the VAT rate differ between countries or product types?+
Yes, VAT rates vary significantly by country, and many countries also apply reduced rates or exemptions to certain categories like food, books, or medical supplies. Always confirm the applicable rate for your specific jurisdiction and product type, since this calculator only applies the rate you enter.
Is VAT the same as sales tax?+
They achieve a similar end result for the consumer but work differently: VAT is collected incrementally at each stage of production and distribution, with businesses reclaiming VAT paid on their inputs, while sales tax in places like the U.S. is typically collected only once, at the final point of sale to the consumer.
Why would a business need to calculate VAT-added prices separately from what they charge customers?+
Businesses often need to track both the net price (for accounting, invoicing between businesses, and profit calculations) and the gross price (what the end consumer pays), so having a clear way to move between the two is a routine part of pricing and bookkeeping.